Nick Hanauer, an American entrepreneur and venture capitalist, advocates for a significant rise in the minimum wage in the U.S. to drive economic growth through spending by the middle class (rather than concentration of wealth in the top x%). This article by Richard Levick, Esq., Chairman and CEO of a global strategic communications firm, looks at the impact of the debate Nick Hanauer has triggered with his article “The Pitchforks are coming for us plutocrats” at Politico Magazine.
For an analysis of the application of the two approaches to managing national economies (Keynesian or Chicago School) by Australian governments, the article “Waiting to exhale – Joe Hockey’s delicate condition” provides food for thought. In it, Edward Eastman traces Australia’s prosperity during the Menzies years to the use of government spending and deficits to build up a strong middle class. Whilst I don’t necessarily agree with one aspects (that just printing money is the answer to everything), I do believe that there is some difference between sovereign and private debt.
Taking things one step further and looking beyond the economic growth paradigm, I just came across “Enough is Enough – Building a sustainable economy in a world of finite resources”. There’s a 15-min movie which introduces some of the key concepts. It can be found here. The book is described on the website of the Center for the Advancement of the Steady State Economy by Noam Chomsky as:
It’s time for a new kind of economy
We’re overusing the earth’s finite resources, and yet excessive consumption is failing to improve our lives. In Enough Is Enough, Rob Dietz and Dan O’Neill lay out a visionary but realistic alternative to the perpetual pursuit of economic growth—an economy where the goal is enough, not more.
They explore specific strategies to conserve natural resources, stabilize population, reduce inequality, fix the financial system, create jobs, and more—all with the aim of maximizing long-term well-being instead of short-term profits. Filled with fresh ideas and surprising optimism, Enough Is Enough is the primer for achieving genuine prosperity and a hopeful future for all.
“A lucid, informed, and highly constructive book.”
—Noam Chomsky
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